Although house contents insurance is not mandatory for banks and landlords, as building insurance is, protecting all your material possessions in case of a disaster is a top level priority. The cost of replacing everything you own, from electronics to kitchen appliances, would be devastatingly high. Not to mention the emptiness you would feel as a homeowner, having lost all your possessions.
Why Do I Need House Contents Insurance?
House Contents insurance may bring to mind your most valuable belongings, your TV, home entertainment system, jewelry. However, if a flood or fire destroys your home, you will have to replace much more than just the valuables. Your clothing, furniture, even the food will need to be replaced sometimes. These kinds of expenses add up to just as much, if not, more, than your valuable items’ replacement costs. This is why it is so important to insure yourself with contents insurance. You will be able to breathe easy knowing your possessions are protected in case of a disaster.
Many companies will offer discounts for getting multiple policies from them. This means getting your house insurance and building insurance from the same company, at the same time, can really save you some money. Keep this in mind when buying building insurance, whether renewing or getting a new policy, and keep a look out for any discount offers.
What Am I Protected from?
House contents insurance will cover everything within your home that is not part of the home itself. This includes, but is not limited to, food, furniture, clothing, electronics, rugs, and even curtains in certain policies. Be sure to check to see if your policy provider has an extra out-of-home belongings coverage. This will cover you in case of getting mugged or losing your wallet/purse when outside of your home or property. It can even cover a bike you store outside your home, or items in other buildings on your property like garden sheds or greenhouses. Also check to see if your house contents insurance policy includes increases in coverage around special events like Christmas or weddings.
House contents insurance will not cover willful property damage, certain possessions lost from outside a certain range of your property, or damages caused by you during home renovations or repairs. Do check to see all the exceptions in coverage your insurance company has for you, this way you’ll know exactly what is and isn’t covered. Look into getting additional coverage options, at a cost, to insure you against damages or losses not usually covered by your policy. The price and coverage options for policy add-ons will vary by company.
Just like building insurance, house contents insurance will have a deductible. This is the amount you must pay before the policy takes over the expenses. Yet the total value of your belongings will undoubtedly add up to more than you might think. Always calculate the value of ALL of your belongings accurately to ensure the best possible coverage and rates for your contents insurance policy.